Attached files
| file | filename |
|---|---|
| 8-K - RE-SEGMENTATION 2016 - AMERICAN EXPRESS CO | segments.htm |
Exhibit 99.1
|
American Express Company
|
|
(Preliminary)
|
|
||
|
Selected Financial Information by Segment
|
|
|
|
|
|
|
(Millions)
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
Corporate &
|
|||||||||||||||||||||||
|
|
USCS
|
ICNS
|
GCS
|
GMS
|
Other
|
Consolidated
|
||||||||||||||||||
|
Twelve months ended December 31, 2015
|
||||||||||||||||||||||||
|
|
||||||||||||||||||||||||
|
Non-interest revenues
|
$
|
8,479
|
$
|
4,627
|
$
|
8,930
|
$
|
4,471
|
$
|
389
|
$
|
26,896
|
||||||||||||
|
Interest income
|
5,198
|
945
|
1,175
|
1
|
226
|
7,545
|
||||||||||||||||||
|
Interest expense
|
488
|
235
|
365
|
(211
|
)
|
746
|
1,623
|
|||||||||||||||||
|
Total revenues net of interest expense
|
13,189
|
5,337
|
9,740
|
4,683
|
(131
|
)
|
32,818
|
|||||||||||||||||
|
Total provision
|
1,064
|
300
|
588
|
31
|
5
|
1,988
|
||||||||||||||||||
|
Pretax income (loss) from continuing operations
|
3,677
|
904
|
3,155
|
2,390
|
(2,188
|
)
|
7,938
|
|||||||||||||||||
|
Income tax provision (benefit)
|
1,322
|
220
|
1,139
|
886
|
(792
|
)
|
2,775
|
|||||||||||||||||
|
Net income (loss)
|
2,355
|
684
|
2,016
|
1,504
|
(1,396
|
)
|
5,163
|
|||||||||||||||||
|
|
||||||||||||||||||||||||
|
Twelve months ended December 31, 2014
|
||||||||||||||||||||||||
|
|
||||||||||||||||||||||||
|
Non-interest revenues
|
8,198
|
5,091
|
9,571
|
4,571
|
1,285
|
28,716
|
||||||||||||||||||
|
Interest income
|
4,821
|
1,088
|
1,026
|
2
|
242
|
7,179
|
||||||||||||||||||
|
Interest expense
|
453
|
325
|
409
|
(287
|
)
|
807
|
1,707
|
|||||||||||||||||
|
Total revenues net of interest expense
|
12,566
|
5,854
|
10,188
|
4,860
|
720
|
34,188
|
||||||||||||||||||
|
Total provision
|
1,030
|
354
|
569
|
79
|
12
|
2,044
|
||||||||||||||||||
|
Pretax income (loss) from continuing operations
|
3,502
|
887
|
3,717
|
2,336
|
(1,451
|
)
|
8,991
|
|||||||||||||||||
|
Income tax provision (benefit)
|
1,283
|
194
|
1,379
|
874
|
(624
|
)
|
3,106
|
|||||||||||||||||
|
Net income (loss)
|
$ |
2,219
|
$ |
693
|
$ |
2,338
|
$ |
1,462
|
$ |
(827
|
)
|
$ |
5,885
|
|||||||||||
|
|
||||||||||||||||||||||||
-1-
|
U.S. Consumer Services
|
(Preliminary)
|
|||||||
|
Quarters Ended
|
||||||||||||||||||||||||||||||||
|
Selected Income Statement Data
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
||||||||||||||||||||||||
|
(Millions)
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
||||||||||||||||||||||||
|
Non-interest revenues
|
$ |
2,155
|
$ |
2,117
|
$ |
2,176
|
$ |
2,031
|
$ |
2,123
|
$ |
2,061
|
$ |
2,077
|
$ |
1,937
|
||||||||||||||||
|
Interest income
|
1,349
|
1,324
|
1,252
|
1,273
|
1,246
|
1,220
|
1,169
|
1,186
|
||||||||||||||||||||||||
|
Interest expense
|
130
|
123
|
121
|
114
|
112
|
112
|
115
|
114
|
||||||||||||||||||||||||
|
Net interest income
|
1,219
|
1,201
|
1,131
|
1,159
|
1,134
|
1,108
|
1,054
|
1,072
|
||||||||||||||||||||||||
|
Total revenues net of interest expense
|
3,374
|
3,318
|
3,307
|
3,190
|
3,257
|
3,169
|
3,131
|
3,009
|
||||||||||||||||||||||||
|
Provisions for losses
|
334
|
294
|
243
|
193
|
313
|
234
|
241
|
242
|
||||||||||||||||||||||||
|
Total revenues net of interest expense after provisions for losses
|
3,040
|
3,024
|
3,064
|
2,997
|
2,944
|
2,935
|
2,890
|
2,767
|
||||||||||||||||||||||||
|
Expenses
|
||||||||||||||||||||||||||||||||
|
Marketing, promotion, rewards, Card Member services and other
|
1,410
|
1,396
|
1,366
|
1,210
|
1,419
|
1,213
|
1,273
|
1,077
|
||||||||||||||||||||||||
|
Salaries and employee benefits and other operating expenses
|
793
|
768
|
759
|
746
|
802
|
734
|
797
|
719
|
||||||||||||||||||||||||
|
Total expenses
|
2,203
|
2,164
|
2,125
|
1,956
|
2,221
|
1,947
|
2,070
|
1,796
|
||||||||||||||||||||||||
|
Pretax segment income
|
837
|
860
|
939
|
1,041
|
723
|
988
|
820
|
971
|
||||||||||||||||||||||||
|
Income tax provision
|
296
|
318
|
326
|
382
|
263
|
364
|
292
|
364
|
||||||||||||||||||||||||
|
Segment income
|
$
|
541
|
$
|
542
|
$
|
613
|
$
|
659
|
$
|
460
|
$
|
624
|
$
|
528
|
$
|
607
|
||||||||||||||||
|
Effective tax rate
|
35.4
|
%
|
37.0
|
%
|
34.7
|
%
|
36.7
|
%
|
36.4
|
%
|
36.8
|
%
|
35.6
|
%
|
37.5
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Selected Statistical Information
|
||||||||||||||||||||||||||||||||
|
(Billions, except percentages and where indicated)
|
||||||||||||||||||||||||||||||||
|
Card billed business
|
$
|
98.4
|
$
|
92.3
|
$
|
93.6
|
$
|
85.7
|
$
|
94.7
|
$
|
88.7
|
$
|
89.3
|
$
|
80.9
|
||||||||||||||||
|
Total cards-in-force (millions)
|
40.7
|
40.0
|
39.1
|
38.6
|
38.3
|
38.0
|
37.5
|
36.9
|
||||||||||||||||||||||||
|
Basic cards-in-force (millions)
|
28.6
|
28.0
|
27.3
|
26.9
|
26.8
|
26.4
|
26.1
|
25.6
|
||||||||||||||||||||||||
|
Average basic Card Member spending (dollars)
|
$
|
3,471
|
$
|
3,337
|
$
|
3,472
|
$
|
3,184
|
$
|
3,560
|
$
|
3,380
|
$
|
3,484
|
$
|
3,169
|
||||||||||||||||
|
Card Member receivables: (A)
|
||||||||||||||||||||||||||||||||
|
Total receivables
|
$
|
11.8
|
$
|
10.5
|
$
|
10.8
|
$
|
10.5
|
$
|
11.7
|
$
|
10.5
|
$
|
10.6
|
$
|
10.4
|
||||||||||||||||
|
30 days past due as a % of total
|
1.4
|
%
|
1.6
|
%
|
1.4
|
%
|
1.5
|
%
|
1.5
|
%
|
1.6
|
%
|
1.5
|
%
|
1.7
|
%
|
||||||||||||||||
|
Average receivables
|
$
|
10.9
|
$
|
10.6
|
$
|
10.7
|
$
|
10.5
|
$
|
10.9
|
$
|
10.6
|
$
|
10.8
|
$
|
10.6
|
||||||||||||||||
|
Net write-off rate (principal only) (B)
|
1.6
|
%
|
1.5
|
%
|
1.2
|
%
|
2.1
|
%
|
1.4
|
%
|
1.5
|
%
|
1.8
|
%
|
2.0
|
%
|
||||||||||||||||
|
Net write-off rate (principal and fees) (B)
|
1.8
|
%
|
1.7
|
%
|
1.4
|
%
|
2.3
|
%
|
1.6
|
%
|
1.7
|
%
|
2.0
|
%
|
2.3
|
%
|
||||||||||||||||
|
Card Member loans: (A)
|
||||||||||||||||||||||||||||||||
|
Total loans
|
$
|
43.5
|
$
|
52.2
|
$
|
51.8
|
$
|
50.3
|
$
|
53.1
|
$
|
48.8
|
$
|
48.6
|
$
|
46.9
|
||||||||||||||||
|
30 days past due loans as a % of total
|
1.0
|
%
|
1.0
|
%
|
0.9
|
%
|
0.9
|
%
|
0.9
|
%
|
1.0
|
%
|
0.9
|
%
|
1.1
|
%
|
||||||||||||||||
|
Average loans
|
$
|
50.5
|
$
|
52.1
|
$
|
51.1
|
$
|
50.9
|
$
|
50.4
|
$
|
48.9
|
$
|
47.8
|
$
|
47.4
|
||||||||||||||||
|
Net write-off rate (principal only) (B)
|
1.4
|
%
|
1.3
|
%
|
1.4
|
%
|
1.5
|
%
|
1.3
|
%
|
1.4
|
%
|
1.6
|
%
|
1.7
|
%
|
||||||||||||||||
|
Net write-off rate (principal, interest and fees) (B)
|
1.6
|
%
|
1.5
|
%
|
1.6
|
%
|
1.7
|
%
|
1.6
|
%
|
1.6
|
%
|
1.9
|
%
|
1.9
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Net interest income divided by average loans (C)
|
9.1
|
%
|
9.2
|
%
|
8.9
|
%
|
9.1
|
%
|
9.0
|
%
|
9.1
|
%
|
8.8
|
%
|
9.0
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (C)
|
9.1
|
%
|
9.2
|
%
|
9.0
|
%
|
9.3
|
%
|
9.1
|
%
|
9.1
|
%
|
9.0
|
%
|
9.3
|
%
|
||||||||||||||||
See Appendix IV for footnote references
-2-
|
International Consumer and Network Services
|
(Preliminary)
|
|||||||
|
Quarters Ended
|
||||||||||||||||||||||||||||||||
|
Selected Income Statement Data
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
||||||||||||||||||||||||
|
(Millions)
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
||||||||||||||||||||||||
|
Non-interest revenues
|
$
|
1,178
|
$
|
1,141
|
$
|
1,163
|
$
|
1,145
|
$
|
1,253
|
$
|
1,298
|
$
|
1,300
|
$
|
1,240
|
||||||||||||||||
|
Interest income
|
235
|
228
|
237
|
245
|
261
|
274
|
275
|
278
|
||||||||||||||||||||||||
|
Interest expense
|
59
|
55
|
58
|
63
|
70
|
84
|
90
|
81
|
||||||||||||||||||||||||
|
Net interest income
|
176
|
173
|
179
|
182
|
191
|
190
|
185
|
197
|
||||||||||||||||||||||||
|
Total revenues net of interest expense
|
1,354
|
1,314
|
1,342
|
1,327
|
1,444
|
1,488
|
1,485
|
1,437
|
||||||||||||||||||||||||
|
Provisions for losses
|
77
|
77
|
76
|
70
|
88
|
93
|
86
|
87
|
||||||||||||||||||||||||
|
Total revenues net of interest expense after provisions for losses
|
1,277
|
1,237
|
1,266
|
1,257
|
1,356
|
1,395
|
1,399
|
1,350
|
||||||||||||||||||||||||
|
Expenses
|
||||||||||||||||||||||||||||||||
|
Marketing, promotion, rewards, Card Member services and other
|
547
|
504
|
482
|
447
|
571
|
532
|
577
|
483
|
||||||||||||||||||||||||
|
Salaries and employee benefits and other operating expenses
|
545
|
532
|
546
|
530
|
705
|
573
|
632
|
540
|
||||||||||||||||||||||||
|
Total expenses
|
1,092
|
1,036
|
1,028
|
977
|
1,276
|
1,105
|
1,209
|
1,023
|
||||||||||||||||||||||||
|
Pretax segment income
|
185
|
201
|
238
|
280
|
80
|
290
|
190
|
327
|
||||||||||||||||||||||||
|
Income tax provision/(benefit)
|
45
|
47
|
45
|
83
|
(3
|
)
|
74
|
35
|
88
|
|||||||||||||||||||||||
|
Segment income
|
$
|
140
|
$
|
154
|
$
|
193
|
$
|
197
|
$
|
83
|
$
|
216
|
$
|
155
|
$
|
239
|
||||||||||||||||
|
Effective tax rate
|
24.3
|
%
|
23.4
|
%
|
18.9
|
%
|
29.6
|
%
|
-3.8
|
%
|
25.5
|
%
|
18.4
|
%
|
26.9
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Selected Statistical Information
|
||||||||||||||||||||||||||||||||
|
(Billions, except percentages and where indicated)
|
||||||||||||||||||||||||||||||||
|
Card billed business
|
||||||||||||||||||||||||||||||||
|
Proprietary
|
$
|
27.1
|
$
|
25.1
|
$
|
25.5
|
$
|
24.4
|
$
|
29.4
|
$
|
29.4
|
$
|
29.6
|
$
|
27.7
|
||||||||||||||||
|
Non-Proprietary
|
43.5
|
40.7
|
41.5
|
38.7
|
42.1
|
41.1
|
39.6
|
36.2
|
||||||||||||||||||||||||
|
Total
|
$
|
70.5
|
$
|
65.9
|
$
|
67.0
|
$
|
63.1
|
$
|
71.5
|
$
|
70.5
|
$
|
69.2
|
$
|
63.9
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Total cards-in-force (millions)
|
||||||||||||||||||||||||||||||||
|
Proprietary
|
14.6
|
14.5
|
14.5
|
14.3
|
15.1
|
15.2
|
15.1
|
15.3
|
||||||||||||||||||||||||
|
Non-Proprietary
|
47.4
|
46.3
|
45.6
|
44.5
|
44.0
|
43.2
|
42.5
|
41.3
|
||||||||||||||||||||||||
|
Total
|
62.0
|
60.8
|
60.0
|
58.8
|
59.1
|
58.4
|
57.6
|
56.5
|
||||||||||||||||||||||||
|
Proprietary basic cards-in-force (millions)
|
9.9
|
9.9
|
9.9
|
9.9
|
10.3
|
10.4
|
10.3
|
10.4
|
||||||||||||||||||||||||
|
Average basic Card Member spending (dollars) (D)
|
$
|
2,718
|
$
|
2,547
|
$
|
2,600
|
$
|
2,454
|
$
|
2,838
|
$
|
2,834
|
$
|
2,866
|
$
|
2,679
|
||||||||||||||||
|
Card Member receivables: (A)
|
||||||||||||||||||||||||||||||||
|
Total receivables
|
$
|
5.6
|
$
|
5.2
|
$
|
5.5
|
$
|
5.1
|
$
|
6.3
|
$
|
5.9
|
$
|
6.1
|
$
|
5.8
|
||||||||||||||||
|
30 days past due as a % of total
|
1.5
|
%
|
1.6
|
%
|
1.5
|
%
|
1.6
|
%
|
1.3
|
%
|
1.4
|
%
|
1.4
|
%
|
1.5
|
%
|
||||||||||||||||
|
Average receivables
|
$
|
5.5
|
$
|
5.3
|
$
|
5.3
|
$
|
5.5
|
$
|
6.5
|
$
|
6.4
|
$
|
6.5
|
$
|
5.9
|
||||||||||||||||
|
Net write-off rate (principal only) (B)
|
2.1
|
%
|
2.3
|
%
|
2.1
|
%
|
1.9
|
%
|
1.7
|
%
|
1.8
|
%
|
1.8
|
%
|
2.3
|
%
|
||||||||||||||||
|
Net write-off rate (principal and fees) (B)
|
2.3
|
%
|
2.5
|
%
|
2.3
|
%
|
2.1
|
%
|
1.8
|
%
|
2.0
|
%
|
1.9
|
%
|
2.5
|
%
|
||||||||||||||||
|
Card Member loans: (A)
|
||||||||||||||||||||||||||||||||
|
Total loans
|
$
|
7.1
|
$
|
6.7
|
$
|
7.2
|
$
|
6.8
|
$
|
7.7
|
$
|
8.0
|
$
|
8.6
|
$
|
8.2
|
||||||||||||||||
|
30 days past due loans as a % of total
|
1.6
|
%
|
1.6
|
%
|
1.6
|
%
|
1.8
|
%
|
1.6
|
%
|
1.6
|
%
|
1.6
|
%
|
1.7
|
%
|
||||||||||||||||
|
Average loans
|
$
|
7.0
|
$
|
6.9
|
$
|
7.0
|
$
|
7.2
|
$
|
7.9
|
$
|
8.3
|
$
|
8.3
|
$
|
8.3
|
||||||||||||||||
|
Net write-off rate (principal only) (B)
|
1.8
|
%
|
1.8
|
%
|
2.0
|
%
|
2.0
|
%
|
1.9
|
%
|
1.9
|
%
|
2.0
|
%
|
2.0
|
%
|
||||||||||||||||
|
Net write-off rate (principal, interest and fees) (B)
|
2.2
|
%
|
2.3
|
%
|
2.5
|
%
|
2.5
|
%
|
2.4
|
%
|
2.4
|
%
|
2.4
|
%
|
2.4
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Net interest income divided by average loans (C)
|
10.1
|
%
|
10.1
|
%
|
10.2
|
%
|
10.2
|
%
|
9.7
|
%
|
9.2
|
%
|
8.9
|
%
|
9.5
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (C)
|
10.6
|
%
|
10.4
|
%
|
10.7
|
%
|
10.9
|
%
|
10.5
|
%
|
9.9
|
%
|
9.6
|
%
|
10.1
|
%
|
||||||||||||||||
See Appendix IV for footnote references
-3-
|
Global Commercial Services
|
(Preliminary)
|
|||||||
|
Quarters Ended
|
||||||||||||||||||||||||||||||||
|
Selected Income Statement Data
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
||||||||||||||||||||||||
|
(Millions)
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
||||||||||||||||||||||||
|
Non-interest revenues
|
$
|
2,253
|
$
|
2,217
|
$
|
2,285
|
$
|
2,175
|
$
|
2,929
|
$
|
2,263
|
$
|
2,241
|
$
|
2,138
|
||||||||||||||||
|
Interest income
|
311
|
297
|
289
|
278
|
263
|
260
|
253
|
250
|
||||||||||||||||||||||||
|
Interest expense
|
94
|
91
|
91
|
89
|
95
|
102
|
111
|
101
|
||||||||||||||||||||||||
|
Net interest income
|
217
|
206
|
198
|
189
|
168
|
158
|
142
|
149
|
||||||||||||||||||||||||
|
Total revenues net of interest expense
|
2,470
|
2,423
|
2,483
|
2,364
|
3,097
|
2,421
|
2,383
|
2,287
|
||||||||||||||||||||||||
|
Provisions for losses
|
153
|
148
|
136
|
151
|
146
|
140
|
143
|
140
|
||||||||||||||||||||||||
|
Total revenues net of interest expense after provisions for losses
|
2,317
|
2,275
|
2,347
|
2,213
|
2,951
|
2,281
|
2,240
|
2,147
|
||||||||||||||||||||||||
|
Expenses
|
||||||||||||||||||||||||||||||||
|
Marketing, promotion, rewards, Card Member services and other
|
784
|
826
|
809
|
723
|
835
|
761
|
788
|
685
|
||||||||||||||||||||||||
|
Salaries and employee benefits and other operating expenses
|
774
|
715
|
691
|
675
|
729
|
691
|
753
|
660
|
||||||||||||||||||||||||
|
Total expenses
|
1,558
|
1,541
|
1,500
|
1,398
|
1,564
|
1,452
|
1,541
|
1,345
|
||||||||||||||||||||||||
|
Pretax segment income
|
759
|
734
|
847
|
815
|
1,387
|
829
|
699
|
802
|
||||||||||||||||||||||||
|
Income tax provision
|
274
|
267
|
298
|
300
|
540
|
299
|
244
|
296
|
||||||||||||||||||||||||
|
Segment income
|
$
|
485
|
$
|
467
|
$
|
549
|
$
|
515
|
$
|
847
|
$
|
530
|
$
|
455
|
$
|
506
|
||||||||||||||||
|
Effective tax rate
|
36.1
|
%
|
36.4
|
%
|
35.2
|
%
|
36.8
|
%
|
38.9
|
%
|
36.1
|
%
|
34.9
|
%
|
36.9
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Selected Statistical Information
|
||||||||||||||||||||||||||||||||
|
(Billions, except percentages and where indicated)
|
||||||||||||||||||||||||||||||||
|
Card billed business
|
$
|
103.2
|
$
|
99.5
|
$
|
100.4
|
$
|
95.5
|
$
|
102.4
|
$
|
98.9
|
$
|
99.7
|
$
|
93.5
|
||||||||||||||||
|
Total cards-in-force (millions)
|
15.1
|
15.0
|
14.7
|
14.8
|
14.8
|
14.7
|
14.8
|
14.8
|
||||||||||||||||||||||||
|
Basic cards-in-force (millions)
|
15.1
|
15.0
|
14.7
|
14.8
|
14.8
|
14.7
|
14.8
|
14.8
|
||||||||||||||||||||||||
|
Average basic Card Member spending (dollars)
|
$
|
6,859
|
$
|
6,711
|
$
|
6,811
|
$
|
6,461
|
$
|
6,929
|
$
|
6,702
|
$
|
6,749
|
$
|
6,344
|
||||||||||||||||
|
Card Member receivables (A)
|
26.7
|
28.6
|
28.6
|
28.1
|
26.8
|
28.7
|
28.6
|
28.4
|
||||||||||||||||||||||||
|
Card Member loans (A)
|
8.0
|
10.0
|
9.9
|
9.7
|
9.5
|
9.2
|
9.1
|
8.9
|
||||||||||||||||||||||||
|
Card Member receivables: (A)
|
||||||||||||||||||||||||||||||||
|
Total receivables - Global Commercial Payments (GCP)
|
$
|
13.8
|
$
|
15.7
|
$
|
15.9
|
$
|
15.7
|
$
|
14.6
|
$
|
16.4
|
$
|
16.5
|
$
|
16.6
|
||||||||||||||||
|
90 days past billing as a % of total - GCP
|
0.9
|
%
|
0.7
|
%
|
0.7
|
%
|
0.7
|
%
|
0.8
|
%
|
0.8
|
%
|
0.7
|
%
|
0.7
|
%
|
||||||||||||||||
|
Net loss ratio (as a % of charge volume) - GCP
|
0.08
|
%
|
0.08
|
%
|
0.09
|
%
|
0.10
|
%
|
0.08
|
%
|
0.09
|
%
|
0.09
|
%
|
0.09
|
%
|
||||||||||||||||
|
Total receivables - Global Small Business Services (GSBS)
|
$
|
12.9
|
$
|
12.9
|
$
|
12.8
|
$
|
12.4
|
$
|
12.2
|
$
|
12.3
|
$
|
12.1
|
$
|
11.7
|
||||||||||||||||
|
30 days past due as a % of total - GSBS
|
1.7
|
%
|
1.6
|
%
|
1.6
|
%
|
1.8
|
%
|
1.8
|
%
|
1.6
|
%
|
1.5
|
%
|
1.8
|
%
|
||||||||||||||||
|
Average receivables - GSBS
|
$
|
13.1
|
$
|
12.8
|
$
|
12.7
|
$
|
12.2
|
$
|
12.4
|
$
|
12.2
|
$
|
12.1
|
$
|
11.4
|
||||||||||||||||
|
Net write-off rate (principal only) - GSBS (B)
|
1.6
|
%
|
1.8
|
%
|
1.9
|
%
|
2.2
|
%
|
1.4
|
%
|
1.6
|
%
|
1.8
|
%
|
1.5
|
%
|
||||||||||||||||
|
Net write-off rate (principal and fees) - GSBS (B)
|
1.8
|
%
|
2.0
|
%
|
2.1
|
%
|
2.4
|
%
|
1.6
|
%
|
1.8
|
%
|
2.0
|
%
|
1.7
|
%
|
||||||||||||||||
|
Card Member loans: (A)
|
||||||||||||||||||||||||||||||||
|
Total loans - GSBS (E)
|
$
|
8.0
|
$
|
10.0
|
$
|
9.9
|
$
|
9.7
|
$
|
9.5
|
$
|
9.2
|
$
|
9.1
|
$
|
8.9
|
||||||||||||||||
|
30 days past due as a % of total - GSBS (E)
|
1.1
|
%
|
1.0
|
%
|
0.9
|
%
|
1.0
|
%
|
1.0
|
%
|
1.0
|
%
|
1.1
|
%
|
1.2
|
%
|
||||||||||||||||
|
Average loans - GSBS (E)
|
$
|
9.6
|
$
|
9.9
|
$
|
9.8
|
$
|
9.5
|
$
|
9.3
|
$
|
9.2
|
$
|
9.1
|
$
|
8.7
|
||||||||||||||||
|
Net write-off rate (principal only) - GSBS (B) (E)
|
1.2
|
%
|
1.3
|
%
|
1.3
|
%
|
1.3
|
%
|
1.3
|
%
|
1.5
|
%
|
1.6
|
%
|
1.7
|
%
|
||||||||||||||||
|
Net write-off rate (principal, interest and fees) - GSBS (B) (E)
|
1.5
|
%
|
1.5
|
%
|
1.5
|
%
|
1.6
|
%
|
1.5
|
%
|
1.7
|
%
|
1.9
|
%
|
2.0
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Net interest income divided by average loans (C)
|
8.5
|
%
|
8.3
|
%
|
8.0
|
%
|
7.9
|
%
|
7.2
|
%
|
6.8
|
%
|
6.2
|
%
|
6.8
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (C)
|
10.2
|
%
|
10.0
|
%
|
10.0
|
%
|
10.2
|
%
|
9.7
|
%
|
9.9
|
%
|
9.8
|
%
|
10.2
|
%
|
||||||||||||||||
See Appendix IV for footnote references
-4-
|
Global Merchant Services
|
(Preliminary)
|
|||||||
|
Quarters Ended
|
||||||||||||||||||||||||||||||||
|
Selected Income Statement Data
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
||||||||||||||||||||||||
|
(Millions)
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
||||||||||||||||||||||||
|
Non-interest revenues
|
$
|
1,148
|
$
|
1,123
|
$
|
1,130
|
$
|
1,070
|
$
|
1,194
|
$
|
1,150
|
$
|
1,143
|
$
|
1,084
|
||||||||||||||||
|
Interest income
|
-
|
-
|
1
|
-
|
1
|
-
|
-
|
1
|
||||||||||||||||||||||||
|
Interest expense
|
(57
|
)
|
(46
|
)
|
(49
|
)
|
(59
|
)
|
(64
|
)
|
(75
|
)
|
(83
|
)
|
(65
|
)
|
||||||||||||||||
|
Net interest income
|
57
|
46
|
50
|
59
|
65
|
75
|
83
|
66
|
||||||||||||||||||||||||
|
Total revenues net of interest expense
|
1,205
|
1,169
|
1,180
|
1,129
|
1,259
|
1,225
|
1,226
|
1,150
|
||||||||||||||||||||||||
|
Provisions for losses
|
9
|
8
|
8
|
6
|
33
|
19
|
15
|
12
|
||||||||||||||||||||||||
|
Total revenues net of interest expense after provisions for losses
|
1,196
|
1,161
|
1,172
|
1,123
|
1,226
|
1,206
|
1,211
|
1,138
|
||||||||||||||||||||||||
|
Expenses
|
||||||||||||||||||||||||||||||||
|
Marketing, promotion, rewards, Card Member services and other
|
84
|
78
|
76
|
56
|
55
|
76
|
89
|
83
|
||||||||||||||||||||||||
|
Salaries and employee benefits and other operating expenses
|
535
|
447
|
507
|
479
|
570
|
549
|
555
|
468
|
||||||||||||||||||||||||
|
Total expenses
|
619
|
525
|
583
|
535
|
625
|
625
|
644
|
551
|
||||||||||||||||||||||||
|
Pretax segment income
|
577
|
636
|
589
|
588
|
601
|
581
|
567
|
587
|
||||||||||||||||||||||||
|
Income tax provision
|
212
|
237
|
219
|
218
|
231
|
214
|
207
|
222
|
||||||||||||||||||||||||
|
Segment income
|
$
|
365
|
$
|
399
|
$
|
370
|
$
|
370
|
$
|
370
|
$
|
367
|
$
|
360
|
$
|
365
|
||||||||||||||||
|
Effective tax rate
|
36.7
|
%
|
37.3
|
%
|
37.2
|
%
|
37.1
|
%
|
38.4
|
%
|
36.8
|
%
|
36.5
|
%
|
37.8
|
%
|
||||||||||||||||
|
Selected Statistical Information
|
||||||||||||||||||||||||||||||||
|
Average discount rate (F)
|
2.42
|
%
|
2.46
|
%
|
2.49
|
%
|
2.49
|
%
|
2.44
|
%
|
2.48
|
%
|
2.48
|
%
|
2.51
|
%
|
||||||||||||||||
See Appendix IV for footnote references
-5-
|
American Express Company *
|
|
(Preliminary)
|
||||||
|
Appendix I - Consolidated Statements of Income
|
|
|
|
|
|
|
|
|
|
(Millions, except percentages and per share amounts)
|
|
|
|
|
|
|
|
|
|
|
Quarters Ended
|
|||||||||||||||||||||||||||||||
|
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
||||||||||||||||||||||||
|
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
||||||||||||||||||||||||
|
Non-interest revenues
|
||||||||||||||||||||||||||||||||
|
Discount revenue
|
$
|
4,913
|
$
|
4,778
|
$
|
4,946
|
$
|
4,660
|
$
|
4,961
|
$
|
4,889
|
$
|
4,919
|
$
|
4,620
|
||||||||||||||||
|
Net card fees
|
687
|
679
|
667
|
667
|
671
|
680
|
687
|
674
|
||||||||||||||||||||||||
|
Other fees and commissions (G)
|
704
|
727
|
727
|
708
|
715
|
746
|
1,124
|
1,041
|
||||||||||||||||||||||||
|
Other
|
540
|
504
|
521
|
468
|
1,310
|
593
|
585
|
501
|
||||||||||||||||||||||||
|
Total non-interest revenues
|
6,844
|
6,688
|
6,861
|
6,503
|
7,657
|
6,908
|
7,315
|
6,836
|
||||||||||||||||||||||||
|
Interest income
|
||||||||||||||||||||||||||||||||
|
Interest on loans
|
1,891
|
1,847
|
1,776
|
1,795
|
1,769
|
1,753
|
1,696
|
1,711
|
||||||||||||||||||||||||
|
Interest and dividends on investment securities
|
37
|
38
|
41
|
41
|
43
|
45
|
45
|
46
|
||||||||||||||||||||||||
|
Deposits with banks and other
|
19
|
19
|
20
|
21
|
17
|
17
|
18
|
19
|
||||||||||||||||||||||||
|
Total interest income
|
1,947
|
1,904
|
1,837
|
1,857
|
1,829
|
1,815
|
1,759
|
1,776
|
||||||||||||||||||||||||
|
Interest expense
|
||||||||||||||||||||||||||||||||
|
Deposits
|
138
|
125
|
109
|
103
|
97
|
91
|
91
|
94
|
||||||||||||||||||||||||
|
Long-term debt and other
|
262
|
274
|
305
|
307
|
308
|
329
|
352
|
345
|
||||||||||||||||||||||||
|
Total interest expense
|
400
|
399
|
414
|
410
|
405
|
420
|
443
|
439
|
||||||||||||||||||||||||
|
Net interest income
|
1,547
|
1,505
|
1,423
|
1,447
|
1,424
|
1,395
|
1,316
|
1,337
|
||||||||||||||||||||||||
|
Total revenues net of interest expense
|
8,391
|
8,193
|
8,284
|
7,950
|
9,081
|
8,303
|
8,631
|
8,173
|
||||||||||||||||||||||||
|
Provisions for losses
|
||||||||||||||||||||||||||||||||
|
Charge card
|
195
|
203
|
165
|
174
|
198
|
196
|
183
|
215
|
||||||||||||||||||||||||
|
Card Member loans
|
361
|
309
|
285
|
235
|
341
|
265
|
282
|
250
|
||||||||||||||||||||||||
|
Other
|
16
|
17
|
17
|
11
|
43
|
27
|
24
|
20
|
||||||||||||||||||||||||
|
Total provisions for losses
|
572
|
529
|
467
|
420
|
582
|
488
|
489
|
485
|
||||||||||||||||||||||||
|
Total revenues net of interest expense after provisions for losses
|
7,819
|
7,664
|
7,817
|
7,530
|
8,499
|
7,815
|
8,142
|
7,688
|
||||||||||||||||||||||||
|
Expenses
|
||||||||||||||||||||||||||||||||
|
Marketing and promotion
|
892
|
847
|
761
|
609
|
887
|
783
|
959
|
587
|
||||||||||||||||||||||||
|
Card Member rewards
|
1,794
|
1,763
|
1,799
|
1,640
|
1,881
|
1,695
|
1,773
|
1,582
|
||||||||||||||||||||||||
|
Card Member services and other
|
246
|
269
|
242
|
261
|
203
|
205
|
192
|
222
|
||||||||||||||||||||||||
|
Salaries and employee benefits
|
1,209
|
1,212
|
1,250
|
1,305
|
1,607
|
1,290
|
1,658
|
1,540
|
||||||||||||||||||||||||
|
Professional services
|
784
|
687
|
655
|
624
|
768
|
731
|
817
|
692
|
||||||||||||||||||||||||
|
Occupancy and equipment
|
482
|
523
|
415
|
434
|
446
|
432
|
467
|
462
|
||||||||||||||||||||||||
|
Other, net
|
958
|
425
|
465
|
341
|
482
|
433
|
(36
|
)
|
395
|
|||||||||||||||||||||||
|
Total expenses
|
6,365
|
5,726
|
5,587
|
5,214
|
6,274
|
5,569
|
5,830
|
5,480
|
||||||||||||||||||||||||
|
Pretax income
|
1,454
|
1,938
|
2,230
|
2,316
|
2,225
|
2,246
|
2,312
|
2,208
|
||||||||||||||||||||||||
|
Income tax provision
|
555
|
672
|
757
|
791
|
778
|
769
|
783
|
776
|
||||||||||||||||||||||||
|
Net income
|
899
|
1,266
|
1,473
|
1,525
|
1,447
|
1,477
|
1,529
|
1,432
|
||||||||||||||||||||||||
|
Net income attributable to common shareholders (H)
|
873
|
1,234
|
1,442
|
1,514
|
1,436
|
1,466
|
1,517
|
1,420
|
||||||||||||||||||||||||
|
Effective tax rate
|
38.2
|
%
|
34.7
|
%
|
33.9
|
%
|
34.2
|
%
|
35.0
|
%
|
34.2
|
%
|
33.9
|
%
|
35.1
|
%
|
||||||||||||||||
|
Earnings Per Common Share
|
||||||||||||||||||||||||||||||||
|
BASIC
|
||||||||||||||||||||||||||||||||
|
Net income attributable to common shareholders
|
$
|
0.89
|
$
|
1.24
|
$
|
1.43
|
$
|
1.49
|
$
|
1.40
|
$
|
1.41
|
$
|
1.44
|
$
|
1.34
|
||||||||||||||||
|
Average common shares outstanding
|
977
|
994
|
1,009
|
1,019
|
1,028
|
1,041
|
1,052
|
1,060
|
||||||||||||||||||||||||
|
DILUTED
|
||||||||||||||||||||||||||||||||
|
Net income attributable to common shareholders
|
$
|
0.89
|
$
|
1.24
|
$
|
1.42
|
$
|
1.48
|
$
|
1.39
|
$
|
1.40
|
$
|
1.43
|
$
|
1.33
|
||||||||||||||||
|
Average common shares outstanding
|
981
|
997
|
1,013
|
1,023
|
1,033
|
1,047
|
1,058
|
1,067
|
||||||||||||||||||||||||
|
Cash dividends declared per common share
|
$
|
0.29
|
$
|
0.29
|
$
|
0.29
|
$
|
0.26
|
$
|
0.26
|
$
|
0.26
|
$
|
0.26
|
$
|
0.23
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
* The Company's Consolidated Statements of Income have not been affected by the previously mentioned changes.
|
See Appendix IV for footnote references
-6-
|
American Express Company
|
(Preliminary)
|
|||||||||||||||
|
Appendix I - Selected Statistical Information
|
||||||||||||||||
|
(Billions, except percentages and where indicated)
|
||||||||||||||||
|
Quarters Ended
|
||||||||||||||||||||||||||||||||
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
|||||||||||||||||||||||||
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
|||||||||||||||||||||||||
|
Card billed business: (I)
|
||||||||||||||||||||||||||||||||
|
United States
|
$
|
189.9
|
$
|
180.3
|
$
|
181.6
|
$
|
169.2
|
$
|
182.5
|
$
|
173.0
|
$
|
173.4
|
$
|
159.2
|
||||||||||||||||
|
Outside the United States
|
83.3
|
78.6
|
80.4
|
76.4
|
86.0
|
85.1
|
84.7
|
78.9
|
||||||||||||||||||||||||
|
Total
|
$
|
273.2
|
$
|
258.9
|
$
|
262.0
|
$
|
245.6
|
$
|
268.5
|
$
|
258.1
|
$
|
258.1
|
$
|
238.1
|
||||||||||||||||
|
Total cards-in-force (millions): (J)
|
||||||||||||||||||||||||||||||||
|
United States
|
57.6
|
56.4
|
55.3
|
54.8
|
54.9
|
54.5
|
54.1
|
53.5
|
||||||||||||||||||||||||
|
Outside the United States
|
60.2
|
59.4
|
58.5
|
57.4
|
57.3
|
56.6
|
55.8
|
54.7
|
||||||||||||||||||||||||
|
Total
|
117.8
|
115.8
|
113.8
|
112.2
|
112.2
|
111.1
|
109.9
|
108.2
|
||||||||||||||||||||||||
|
Basic cards-in-force (millions): (J)
|
||||||||||||||||||||||||||||||||
|
United States
|
44.8
|
43.6
|
42.8
|
42.4
|
42.6
|
42.2
|
42.0
|
41.5
|
||||||||||||||||||||||||
|
Outside the United States
|
49.5
|
49.0
|
48.2
|
47.3
|
47.0
|
46.3
|
45.6
|
44.6
|
||||||||||||||||||||||||
|
Total
|
94.3
|
92.6
|
91.0
|
89.7
|
89.6
|
88.5
|
87.6
|
86.1
|
||||||||||||||||||||||||
|
Average discount rate (F)
|
2.42
|
%
|
2.46
|
%
|
2.49
|
%
|
2.49
|
%
|
2.44
|
%
|
2.48
|
%
|
2.48
|
%
|
2.51
|
%
|
||||||||||||||||
|
Average basic Card Member spending (dollars) (D)
|
$
|
4,305
|
$
|
4,165
|
$
|
4,272
|
$
|
4,008
|
$
|
4,377
|
$
|
4,223
|
$
|
4,288
|
$
|
3,991
|
||||||||||||||||
|
Average fee per card (dollars) (D)
|
$
|
39
|
$
|
39
|
$
|
39
|
$
|
39
|
$
|
39
|
$
|
40
|
$
|
41
|
$
|
40
|
||||||||||||||||
|
Average fee per card adjusted (dollars) (D)
|
$
|
43
|
$
|
44
|
$
|
43
|
$
|
44
|
$
|
44
|
$
|
45
|
$
|
45
|
$
|
45
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Worldwide Card Member receivables: (A)
|
||||||||||||||||||||||||||||||||
|
Total receivables
|
$
|
44.1
|
$
|
44.3
|
$
|
44.9
|
$
|
43.7
|
$
|
44.9
|
$
|
45.1
|
$
|
45.3
|
$
|
44.7
|
||||||||||||||||
|
Loss reserves (millions):
|
||||||||||||||||||||||||||||||||
|
Beginning balance
|
$
|
441
|
$
|
420
|
$
|
429
|
$
|
465
|
$
|
432
|
$
|
413
|
$
|
414
|
$
|
386
|
||||||||||||||||
|
Provisions (K)
|
195
|
203
|
165
|
174
|
198
|
196
|
183
|
215
|
||||||||||||||||||||||||
|
Net write-offs (L)
|
(169
|
)
|
(174
|
)
|
(171
|
)
|
(199
|
)
|
(156
|
)
|
(168
|
)
|
(182
|
)
|
(170
|
)
|
||||||||||||||||
|
Other (M)
|
(5
|
)
|
(8
|
)
|
(3
|
)
|
(11
|
)
|
(9
|
)
|
(9
|
)
|
(2
|
)
|
(17
|
)
|
||||||||||||||||
|
Ending balance
|
$
|
462
|
$
|
441
|
$
|
420
|
$
|
429
|
$
|
465
|
$
|
432
|
$
|
413
|
$
|
414
|
||||||||||||||||
|
% of receivables
|
1.0
|
%
|
1.0
|
%
|
0.9
|
%
|
1.0
|
%
|
1.0
|
%
|
1.0
|
%
|
0.9
|
%
|
0.9
|
%
|
||||||||||||||||
|
Net write-off rate (principal only) (B)
|
1.7
|
%
|
1.8
|
%
|
1.7
|
%
|
2.1
|
%
|
1.5
|
%
|
1.6
|
%
|
1.8
|
%
|
1.8
|
%
|
||||||||||||||||
|
Net write-off rate (principal and fees) (B)
|
1.9
|
%
|
2.0
|
%
|
1.9
|
%
|
2.3
|
%
|
1.7
|
%
|
1.8
|
%
|
2.0
|
%
|
2.0
|
%
|
||||||||||||||||
|
30 days past due as a % of total
|
1.5
|
%
|
1.6
|
%
|
1.5
|
%
|
1.6
|
%
|
1.6
|
%
|
1.6
|
%
|
1.5
|
%
|
1.7
|
%
|
||||||||||||||||
|
Net loss ratio (as a % of charge volume) - GCP
|
0.08
|
%
|
0.08
|
%
|
0.09
|
%
|
0.10
|
%
|
0.08
|
%
|
0.09
|
%
|
0.09
|
%
|
0.09
|
%
|
||||||||||||||||
|
90 days past billing as a % of total - GCP
|
0.9
|
%
|
0.7
|
%
|
0.7
|
%
|
0.7
|
%
|
0.8
|
%
|
0.8
|
%
|
0.7
|
%
|
0.7
|
%
|
||||||||||||||||
|
Worldwide Card Member loans: (A)
|
||||||||||||||||||||||||||||||||
|
Total loans
|
$
|
58.6
|
$
|
68.9
|
$
|
69.0
|
$
|
66.8
|
$
|
70.4
|
$
|
66.1
|
$
|
66.3
|
$
|
64.0
|
||||||||||||||||
|
Loss reserves (millions):
|
||||||||||||||||||||||||||||||||
|
Beginning balance
|
$
|
1,164
|
$
|
1,132
|
$
|
1,130
|
$
|
1,201
|
$
|
1,146
|
$
|
1,170
|
$
|
1,191
|
$
|
1,261
|
||||||||||||||||
|
Provisions (K)
|
361
|
309
|
285
|
235
|
341
|
265
|
282
|
250
|
||||||||||||||||||||||||
|
Net write-offs - principal (L)
|
(234
|
)
|
(231
|
)
|
(243
|
)
|
(259
|
)
|
(237
|
)
|
(245
|
)
|
(267
|
)
|
(280
|
)
|
||||||||||||||||
|
Net write-offs - interest and fees (L)
|
(40
|
)
|
(37
|
)
|
(42
|
)
|
(43
|
)
|
(40
|
)
|
(40
|
)
|
(42
|
)
|
(42
|
)
|
||||||||||||||||
|
Reserves transferred to held for sale
|
(224
|
)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||||||||||||||||||||
|
Other (M)
|
1
|
(9
|
)
|
2
|
(4
|
)
|
(9
|
)
|
(4
|
)
|
6
|
2
|
||||||||||||||||||||
|
Ending balance
|
$
|
1,028
|
$
|
1,164
|
$
|
1,132
|
$
|
1,130
|
$
|
1,201
|
$
|
1,146
|
$
|
1,170
|
$
|
1,191
|
||||||||||||||||
|
Ending reserves - principal
|
$
|
975
|
$
|
1,114
|
$
|
1,076
|
$
|
1,074
|
$
|
1,149
|
$
|
1,093
|
$
|
1,114
|
$
|
1,135
|
||||||||||||||||
|
Ending reserves - interest and fees
|
$
|
53
|
$
|
50
|
$
|
56
|
$
|
56
|
$
|
52
|
$
|
53
|
$
|
56
|
$
|
56
|
||||||||||||||||
|
% of loans
|
1.8
|
%
|
1.7
|
%
|
1.6
|
%
|
1.7
|
%
|
1.7
|
%
|
1.7
|
%
|
1.8
|
%
|
1.9
|
%
|
||||||||||||||||
|
% of past due
|
164
|
%
|
164
|
%
|
171
|
%
|
163
|
%
|
167
|
%
|
165
|
%
|
171
|
%
|
159
|
%
|
||||||||||||||||
|
Average loans
|
$
|
67.1
|
$
|
69.0
|
$
|
68.0
|
$
|
67.6
|
$
|
67.7
|
$
|
66.4
|
$
|
65.2
|
$
|
64.5
|
||||||||||||||||
|
Net write-off rate (principal only) (B)
|
1.4
|
%
|
1.3
|
%
|
1.4
|
%
|
1.5
|
%
|
1.4
|
%
|
1.5
|
%
|
1.6
|
%
|
1.7
|
%
|
||||||||||||||||
|
Net write-off rate (principal, interest and fees) (B)
|
1.6
|
%
|
1.6
|
%
|
1.7
|
%
|
1.8
|
%
|
1.6
|
%
|
1.7
|
%
|
1.9
|
%
|
2.0
|
%
|
||||||||||||||||
|
30 days past due loans as a % of total
|
1.1
|
%
|
1.0
|
%
|
1.0
|
%
|
1.0
|
%
|
1.0
|
%
|
1.1
|
%
|
1.0
|
%
|
1.2
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
Net interest income divided by average loans (C)
|
8.7
|
%
|
8.7
|
%
|
8.4
|
%
|
8.6
|
%
|
8.4
|
%
|
8.5
|
%
|
8.1
|
%
|
8.4
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (C)
|
9.4
|
%
|
9.5
|
%
|
9.3
|
%
|
9.6
|
%
|
9.3
|
%
|
9.3
|
%
|
9.2
|
%
|
9.5
|
%
|
||||||||||||||||
See Appendix IV for footnote references
-7-
|
American Express Company
|
|
(Preliminary)
|
|||||||||||||||
|
Net Interest Yield on Card Member Loans
|
|
|
|
|
|
|
|
|
|||||||||
|
Appendix II
|
|
|
|
|
|
|
|
||||||||||
|
(Millions, except percentages and where indicated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
Quarters Ended
|
|||||||||||||||||||||||||||||||
|
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
Dec 31,
|
Sep 30,
|
Jun 30,
|
Mar 31,
|
||||||||||||||||||||||||
|
|
2015
|
2015
|
2015
|
2015
|
2014
|
2014
|
2014
|
2014
|
||||||||||||||||||||||||
|
Consolidated:
|
||||||||||||||||||||||||||||||||
|
Net interest income
|
$
|
1,547
|
$
|
1,505
|
$
|
1,423
|
$
|
1,447
|
$
|
1,424
|
$
|
1,395
|
$
|
1,316
|
$
|
1,337
|
||||||||||||||||
|
Exclude:
|
||||||||||||||||||||||||||||||||
|
Interest expense not attributable to the Company's Card Member loan portfolio
|
$
|
225
|
$
|
232
|
$
|
248
|
$
|
246
|
$
|
240
|
$
|
239
|
$
|
255
|
$
|
259
|
||||||||||||||||
|
Interest income not attributable to the Company's Card Member loan portfolio
|
$
|
(90
|
)
|
$
|
(89
|
)
|
$
|
(91
|
)
|
$
|
(86
|
)
|
$
|
(75
|
)
|
$
|
(76
|
)
|
$
|
(79
|
)
|
$
|
(78
|
)
|
||||||||
|
Adjusted net interest income (N)
|
$
|
1,682
|
$
|
1,648
|
$
|
1,580
|
$
|
1,606
|
$
|
1,588
|
$
|
1,558
|
$
|
1,492
|
$
|
1,518
|
||||||||||||||||
|
Average loans (billions)
|
$
|
70.9
|
$
|
69.0
|
$
|
68.0
|
$
|
67.6
|
$
|
67.7
|
$
|
66.4
|
$
|
65.2
|
$
|
64.5
|
||||||||||||||||
|
Include:
|
||||||||||||||||||||||||||||||||
|
Certain other fees (billions)
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.1
|
||||||||||||||||
|
Adjusted average loans (billions) (O)
|
$
|
70.9
|
$
|
69.0
|
$
|
68.0
|
$
|
67.6
|
$
|
67.7
|
$
|
66.4
|
$
|
65.2
|
$
|
64.6
|
||||||||||||||||
|
Net interest income divided by average loans (P)
|
8.7
|
%
|
8.7
|
%
|
8.4
|
%
|
8.6
|
%
|
8.4
|
%
|
8.4
|
%
|
8.1
|
%
|
8.3
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (Q)
|
9.4
|
%
|
9.5
|
%
|
9.3
|
%
|
9.6
|
%
|
9.3
|
%
|
9.3
|
%
|
9.2
|
%
|
9.5
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
USCS:
|
||||||||||||||||||||||||||||||||
|
Net interest income
|
$
|
1,220
|
$
|
1,200
|
$
|
1,131
|
$
|
1,159
|
$
|
1,135
|
$
|
1,108
|
$
|
1,054
|
$
|
1,072
|
||||||||||||||||
|
Exclude:
|
||||||||||||||||||||||||||||||||
|
Interest expense not attributable to the Company's Card Member loan portfolio
|
$
|
19
|
$
|
18
|
$
|
18
|
$
|
17
|
$
|
18
|
$
|
18
|
$
|
19
|
$
|
18
|
||||||||||||||||
|
Interest income not attributable to the Company's Card Member loan portfolio
|
$
|
(5
|
)
|
$
|
(4
|
)
|
$
|
(4
|
)
|
$
|
(3
|
)
|
$
|
(3
|
)
|
$
|
(3
|
)
|
$
|
(3
|
)
|
$
|
(3
|
)
|
||||||||
|
Adjusted net interest income (N)
|
$
|
1,234
|
$
|
1,214
|
$
|
1,146
|
$
|
1,172
|
$
|
1,149
|
$
|
1,122
|
$
|
1,070
|
$
|
1,088
|
||||||||||||||||
|
Average loans (billions)
|
$
|
53.7
|
$
|
52.1
|
$
|
51.1
|
$
|
50.9
|
$
|
50.4
|
$
|
48.9
|
$
|
47.8
|
$
|
47.4
|
||||||||||||||||
|
Include:
|
||||||||||||||||||||||||||||||||
|
Certain Other Fees (billions)
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.1
|
||||||||||||||||
|
Adjusted average loans (billions) (O)
|
$
|
53.7
|
$
|
52.1
|
$
|
51.1
|
$
|
50.9
|
$
|
50.4
|
$
|
48.9
|
$
|
47.8
|
$
|
47.5
|
||||||||||||||||
|
Net interest income divided by average loans (P)
|
9.1
|
%
|
9.2
|
%
|
8.9
|
%
|
9.1
|
%
|
9.0
|
%
|
9.1
|
%
|
8.8
|
%
|
9.0
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (Q)
|
9.1
|
%
|
9.2
|
%
|
9.0
|
%
|
9.3
|
%
|
9.1
|
%
|
9.1
|
%
|
9.0
|
%
|
9.3
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
ICNS:
|
||||||||||||||||||||||||||||||||
|
Net interest income
|
$
|
176
|
$
|
173
|
$
|
179
|
$
|
182
|
$
|
191
|
$
|
190
|
$
|
184
|
$
|
197
|
||||||||||||||||
|
Exclude:
|
||||||||||||||||||||||||||||||||
|
Interest expense not attributable to the Company's Card Member loan portfolio
|
$
|
14
|
$
|
14
|
$
|
14
|
$
|
15
|
$
|
16
|
$
|
16
|
$
|
17
|
$
|
14
|
||||||||||||||||
|
Interest income not attributable to the Company's Card Member loan portfolio
|
$
|
(4
|
)
|
$
|
(5
|
)
|
$
|
(6
|
)
|
$
|
(4
|
)
|
$
|
3
|
$
|
0
|
$
|
(4
|
)
|
$
|
(3
|
)
|
||||||||||
|
Adjusted net interest income (N)
|
$
|
186
|
$
|
181
|
$
|
187
|
$
|
193
|
$
|
210
|
$
|
207
|
$
|
198
|
$
|
208
|
||||||||||||||||
|
Average loans (billions)
|
$
|
7.0
|
$
|
6.9
|
$
|
7.0
|
$
|
7.2
|
$
|
7.9
|
$
|
8.3
|
$
|
8.3
|
$
|
8.3
|
||||||||||||||||
|
Include:
|
||||||||||||||||||||||||||||||||
|
Certain Other Fees (billions)
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
||||||||||||||||
|
Adjusted average loans (billions) (O)
|
$
|
7.0
|
$
|
6.9
|
$
|
7.0
|
$
|
7.2
|
$
|
7.9
|
$
|
8.3
|
$
|
8.3
|
$
|
8.3
|
||||||||||||||||
|
Net interest income divided by average loans (P)
|
10.1
|
%
|
10.1
|
%
|
10.2
|
%
|
10.2
|
%
|
9.7
|
%
|
9.2
|
%
|
8.9
|
%
|
9.5
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (Q)
|
10.6
|
%
|
10.4
|
%
|
10.7
|
%
|
10.9
|
%
|
10.5
|
%
|
9.9
|
%
|
9.6
|
%
|
10.1
|
%
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||||||
|
GCS:
|
||||||||||||||||||||||||||||||||
|
Net interest income
|
$
|
217
|
$
|
206
|
$
|
198
|
$
|
189
|
$
|
168
|
$
|
158
|
$
|
142
|
$
|
149
|
||||||||||||||||
|
Exclude:
|
||||||||||||||||||||||||||||||||
|
Interest expense not attributable to the Company's Card Member loan portfolio
|
$
|
72
|
$
|
71
|
$
|
72
|
$
|
71
|
$
|
77
|
$
|
84
|
$
|
92
|
$
|
83
|
||||||||||||||||
|
Interest income not attributable to the Company's Card Member loan portfolio
|
$
|
(28
|
)
|
$
|
(24
|
)
|
$
|
(22
|
)
|
$
|
(19
|
)
|
$
|
(17
|
)
|
$
|
(13
|
)
|
$
|
(11
|
)
|
$
|
(10
|
)
|
||||||||
|
Adjusted net interest income (N)
|
$
|
261
|
$
|
253
|
$
|
248
|
$
|
241
|
$
|
229
|
$
|
229
|
$
|
224
|
$
|
222
|
||||||||||||||||
|
Average loans (billions)
|
$
|
10.2
|
$
|
10.0
|
$
|
9.9
|
$
|
9.6
|
$
|
9.4
|
$
|
9.2
|
$
|
9.1
|
$
|
8.8
|
||||||||||||||||
|
Include:
|
||||||||||||||||||||||||||||||||
|
Certain other fees (billions)
|
$
|
0.0
|
$
|
0.0
|
$
|
(0.0
|
)
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
|||||||||||||||
|
Adjusted average loans (billions) (O)
|
$
|
10.2
|
$
|
10.0
|
$
|
9.9
|
$
|
9.6
|
$
|
9.4
|
$
|
9.2
|
$
|
9.1
|
$
|
8.8
|
||||||||||||||||
|
Net interest income divided by average loans (P)
|
8.5
|
%
|
8.3
|
%
|
8.0
|
%
|
7.9
|
%
|
7.2
|
%
|
6.8
|
%
|
6.2
|
%
|
6.8
|
%
|
||||||||||||||||
|
Net interest yield on Card Member loans (Q)
|
10.2
|
%
|
10.0
|
%
|
10.0
|
%
|
10.2
|
%
|
9.7
|
%
|
9.9
|
%
|
9.8
|
%
|
10.2
|
%
|
||||||||||||||||
See Appendix IV for footnote references
-8-
|
American Express Company
|
(Preliminary)
|
||||||||||||||||||||||||||||||
|
Billed Business trend:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(8QTR Growth)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Appendix III
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage Inc/(Dec) vs. prior year
|
||||||||||||||||||||||||||||||
|
|
Quarters Ended
|
||||||||||||||||||||||||||||||
|
|
Reported
|
|
FX-Adjusted (V)
|
||||||||||||||||||||||||||||
|
|
Dec 31,
|
|
Sep 30,
|
|
Jun 30,
|
|
Mar 31,
|
|
Dec 31,
|
|
Sep 30,
|
|
Jun 30,
|
|
Mar 31,
|
|
Dec 31,
|
|
Sep 30,
|
|
Jun 30,
|
|
Mar 31,
|
|
Dec 31,
|
|
Sep 30,
|
|
Jun 30,
|
|
Mar 31,
|
|
|
2015
|
|
2015
|
|
2015
|
|
2015
|
|
2014
|
|
2014
|
|
2014
|
|
2014
|
|
2015
|
|
2015
|
|
2015
|
|
2015
|
|
2014
|
|
2014
|
|
2014
|
|
2014
|
|
Worldwide (R)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Billed Business
|
2
|
%
|
0
|
%
|
2
|
%
|
3
|
%
|
6
|
%
|
9
|
%
|
9
|
%
|
6
|
%
|
5
|
%
|
5
|
%
|
6
|
%
|
7
|
%
|
8
|
%
|
10
|
%
|
9
|
%
|
7%
|
|
Proprietary billed business
|
1
|
|
0
|
|
0
|
|
2
|
|
5
|
|
8
|
|
8
|
|
5
|
|
3
|
|
3
|
|
4
|
|
5
|
|
7
|
|
9
|
|
8
|
|
6
|
|
GNS billed business (S)
|
3
|
|
(1)
|
|
5
|
|
7
|
|
8
|
|
16
|
|
12
|
|
10
|
|
14
|
|
13
|
|
15
|
|
16
|
|
15
|
|
17
|
|
13
|
|
15
|
|
Airline-related volume (7% of Q4'15 worldwide billed business)
|
(5)
|
|
(6)
|
|
(5)
|
|
(3)
|
|
1
|
|
7
|
|
6
|
|
4
|
|
(1)
|
|
0
|
|
1
|
|
2
|
|
4
|
|
7
|
|
6
|
|
5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States (R)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Billed Business
|
4
|
|
4
|
|
5
|
|
6
|
|
8
|
|
9
|
|
9
|
|
6
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
Proprietary consumer card billed business (T)
|
4
|
|
4
|
|
5
|
|
6
|
|
7
|
|
8
|
|
8
|
|
6
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
Proprietary small business and corporate services billed business (U)
|
3
|
|
4
|
|
4
|
|
6
|
|
9
|
|
11
|
|
10
|
|
7
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
T&E-related volume (23% of Q4'15 U.S.billed business)
|
2
|
|
3
|
|
4
|
|
5
|
|
6
|
|
7
|
|
6
|
|
5
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
Non-T&E-related volume (77% of Q4'15 U.S. billed business)
|
4
|
|
4
|
|
5
|
|
6
|
|
9
|
|
10
|
|
9
|
|
6
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
Airline-related volume (6% of Q4'15 U.S. billed business)
|
(3)
|
|
(3)
|
|
(2)
|
|
0
|
|
1
|
|
5
|
|
5
|
|
3
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outside the United States (R)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Billed Business
|
(3)
|
|
(8)
|
|
(5)
|
|
(3)
|
|
1
|
|
9
|
|
9
|
|
6
|
|
8
|
|
7
|
|
8
|
|
8
|
|
9
|
|
11
|
|
9
|
|
10
|
|
Japan, Asia Pacific & Australia ("JAPA") billed business
|
5
|
|
(2)
|
|
4
|
|
6
|
|
7
|
|
16
|
|
10
|
|
7
|
|
14
|
|
13
|
|
16
|
|
16
|
|
14
|
|
16
|
|
11
|
|
15
|
|
Latin America & Canada ("LACC") billed business
|
(19)
|
|
(24)
|
|
(18)
|
|
(14)
|
|
(7)
|
|
1
|
|
2
|
|
(1)
|
|
(1)
|
|
(7)
|
|
(8)
|
|
(7)
|
|
3
|
|
8
|
|
9
|
|
10
|
|
Europe, Middle East & Africa ("EMEA") billed business
|
(4)
|
|
(5)
|
|
(9)
|
|
(9)
|
|
1
|
|
7
|
|
12
|
|
11
|
|
5
|
|
7
|
|
7
|
|
6
|
|
9
|
|
7
|
|
6
|
|
7
|
|
Proprietary consumer card billed business (S)
|
(8)
|
|
(15)
|
|
(14)
|
|
(12)
|
|
(5)
|
|
3
|
|
5
|
|
2
|
|
2
|
|
(1)
|
|
(1)
|
|
0
|
|
2
|
|
5
|
|
5
|
|
6
|
|
Proprietary small business and corporate services billed business (U)
|
(10)
|
%
|
(11)
|
%
|
(11)
|
%
|
(10)
|
%
|
(1)
|
%
|
4
|
%
|
6
|
%
|
5
|
%
|
2
|
%
|
5
|
%
|
4
|
%
|
3
|
%
|
7
|
%
|
6
|
%
|
7
|
%
|
9%
|
See Appendix IV for footnote references
-9-
|
Appendix IV
|
(Preliminary)
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
All Information in the preceding tables is presented on a basis prepared in accordance with U.S. generally accepted accounting principles (GAAP), unless otherwise indicated.
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
Effective December 1, 2015, the Company reclassified the Card Member loans and receivables related to its co-brand partnerships with Costco in the U.S. and Jetblue, to reflect them as held for sale (HFS) on the Consolidated Balance Sheets. The loans were reclassified at their net carrying amount, inclusive of the related reserves for losses. Accordingly, Card Member loans and receivables and the related credit metrics are presented excluding the HFS loans and receivables. As of December 31, 2015, the Card Member loans and receivables HFS in USCS were $12.6 billion and nil, respectively, and in GCS were $2.3 billion and $0.1 billion, respectively.
|
|
(B)
|
The Company presents a net write-off rate based on principal losses only (i.e., excluding interest and/or fees) to be consistent with industry convention. In addition, because the Company's practice is to include uncollectible interest and/or fees as part of its total provision for losses, a net write-off rate including principal, interest and/or fees is also presented. The AXP net write-off rates and 30 days past due as a percentage of total relate to USCS, ICNS and GSBS Card Member receivables. Beginning in January 2015, timing of charge-offs for loans in certain modification programs changed from 180 days past due to 120 days past due.
|
|
(C)
|
See Appendix II for calculations of net interest yield on Card Member loans, a non-GAAP measure, and net interest income divided by average loans, a GAAP measure, and the Company's rationale for presenting net interest yield on Card Member loans.
|
|
(D)
|
Average basic Card Member spending and average fee per card are computed from proprietary card activities only. Average fee per card is computed based on net card fees, including the amortization of deferred direct acquisition costs divided by average worldwide proprietary cards-in-force. The average fee per card adjusted, which is a non-GAAP measure, is computed in the same manner, but excludes amortization of deferred direct acquisition costs. The amount of amortization excluded for these periods was $66 million, $72 million, $62 million and $83 million for the quarters ended December 31, September 30, June 30 and March 31, 2015, respectively, and $79 million, $77 million, $77 million and $73 million for the quarters ended December 31, September 30, June 30, and March 31, 2014, respectively. The Company presents adjusted average fee per card because the Company believes this metric presents a useful indicator of card fee pricing across a range of its proprietary card products.
|
|
(E)
|
International GSBS Card Member loans and associated credit metrics continue to be reported within the international consumer business, in the ICNS segment, due to certain limitations. These loans are insignificant to both ICNS and GCS.
|
|
(F)
|
This calculation is designed to reflect pricing at merchants accepting general purpose American Express cards. It represents the percentage of billed business (both proprietary and GNS) retained by the Company from merchants it acquires, prior to payments to third parties unrelated to merchant acceptance.
|
|
(G)
|
Includes Travel Commissions and Fees which were shown separately until Q3'15.
|
|
(H)
|
Represents net income, less (i) earnings allocated to participating share awards of $6 million, $10 million, $11 million and $11 million for the quarters ended December 31, September 30, June 30 and March 31, 2015, respectively, and $11 million, $11 million, $12 million and $12 million for the quarters ended December 31, September 30, June 30 and March 31, 2014, respectively, and (ii) dividends on preferred shares of $20 million, $22 million and $20 million, for the quarters ended December 31, September 30 and June 30, 2015, respectively, and nil for all other comparative periods.
|
|
(I)
|
Card billed business includes activities (including cash advances) related to proprietary cards, cards issued under network partnership agreements (non-proprietary billed business), and certain insurance fees charged on proprietary cards. In-store spend activity within retail co-brand portfolios in Global Network Services (GNS), from which the Company earns no revenue, is not included in non-proprietary billed business. Card billed business is reflected in the United States or outside the United States based on where the issuer is located.
|
|
(J)
|
Total cards-in-force represents the number of cards that are issued and outstanding. Proprietary basic consumer cards-in-force includes basic cards issued to the primary account owner and does not include supplemental cards issued on that account. Proprietary basic small business and corporate cards-in-force include basic and supplemental cards issued to employee Card Members. Non-proprietary cards-in-force includes all cards that are issued and outstanding under network partnership agreements, except for retail co-brand Card Member accounts that have no out-of-store spend activity during the prior 12 month period.
|
|
(K)
|
Provisions for principal and fee reserve components.
|
|
(L)
|
Consists of principal, interest and/or fees, less recoveries.
|
|
(M)
|
Q4'15 includes $1 million for the Reserves transferred to HFS. Beginning in Q1'14, reserves related to card-related fraud losses are reflected in Other liabilities. All periods include foreign currency translation adjustments and other items.
|
|
(N)
|
Adjusted net interest income, a non-GAAP measure, represents net interest income allocated to the Company's Card Member loan portfolio excluding the impact of interest expense and interest income not attributable to the Company's Card Member loan portfolio. The Company believes adjusted net interest income is useful to investors because it is a component of net interest yield on Card Member loans.
|
|
(O)
|
Adjusted average loans, a non-GAAP measure, represents average Card Member loans (including loans related to the Costco and JetBlue portfolio which are classified as HFS on the Consolidated Balance Sheets), excluding the impact of deferred card fees, net of deferred direct acquisition costs of Card Member loans, and other. The Company believes adjusted average loans is useful to investors because it is a component of net interest yield on Card Member loans.
|
|
(P)
|
This calculation, computed on an annualized basis, includes elements of total interest income and total interest expense that are not attributable to the Card Member loan portfolio, and thus is not representative of net interest yield on Card Member loans. The calculation includes interest income and interest expense attributable to investment securities and other interest-bearing deposits as well as to Card Member loans, and interest expense attributable to other activities, including Card Member receivables.
|
|
(Q)
|
Net interest yield on Card Member loans, a non-GAAP measure, is computed by dividing adjusted net interest income by adjusted average loans, computed on an annualized basis. The calculation of net interest yield on Card Member loans includes interest that is deemed uncollectible. For all presentations of net interest yield on Card Member loans, reserves and net write-offs related to uncollectible interest are recorded through provisions for losses - Card Member loans; therefore, such reserves and net write-offs are not included in the net interest yield calculation. Effective January 1, 2016, net interest yield also includes an insignificant amount of net interest income and loans related to certain non-traditional Card Member loans. The prior periods have been revised to conform with this presentation. The Company believes net interest yield on Card Member loans is useful to investors because it provides a measure of profitability of the Company's Card Member loan portfolio.
|
|
(R)
|
Captions not designated as “proprietary” or “GNS” include both proprietary and GNS data.
|
|
(S)
|
Included in ICNS.
|
|
(T)
|
Included in USCS.
|
|
(U)
|
Included in GCS.
|
|
(V)
|
FX-adjusted information assumes a constant exchange rate between the periods being compared for purposes of currency translation into U.S. dollars (e.g., assumes the foreign exchange rates used to determine results for the three months ended December 31, 2015 apply to the period(s) against which such results are being compared). Certain amounts included in the calculations of FX-adjusted revenues and expenses, which constitute non-GAAP measures, are subject to management allocations. The Company believes the presentation of information on an FX-adjusted basis is helpful to investors by making it easier to compare the Company's performance in one period to that of another period without the variability caused by fluctuations in currency exchange rates.
|
-10-